MORE than sixty new flats and a large area of office space is to be built on land close to Ipswich Waterfront as part of an on-going project to rejuvenate the area.

MORE than sixty new flats and a large area of office space is to be built on land close to Ipswich Waterfront as part of an on-going project to rejuvenate the area.

The 1.24 acre site, which is sandwiched between College Street and Star Lane in Ipswich, has been put on the market for in excess of £2million.

Ipswich Borough Council has already granted planning permission for 69 flats, 2,000 sq ft of office accommodation and the conversion of a listed building into an office unit to be built on the area and developers are now being invited to put in a bid.

The site is currently owned by a charity called John S Cohen Foundation, which is based in London, and a company called Danisco that is also based in the city.

The area was formerly used as a warehouse for storage of dried food goods and all buildings have now been demolished apart from the listed building on College Street, which was used as offices.

This was damaged by fire recently, and developers will now transform it into new office space.

William Dewsnap, commercial department assistant at Strutt and Parker, described the area as a "prime site" which would link the town centre to the Ipswich Waterfront.

"There are nice restaurants and bars and it's also not too far from the Cardinal Retail Park," he said.

"Over the past few years, people have tried to buy it before the planning permission was in place. Having that planning permission makes it far more valuable.

"It's all part of Ipswich Borough Council's policy on the Ipswich Waterfront area. They are looking to link buildings on the edge to the town centre so it's an important site because it's set back from the water."

The new site will comprise 54 two-bedroom flats, seven one-bedroom flats and eight social housing units. It will also offer 70 car-parking spaces.

The closing date for offers is February 26 but Mr Dewsnap said any development is not likely to be completed until the first half of 2004.

Peter Gardiner, Ipswich Borough Council leader, welcomed the new development, saying it would help bridge part of the gap between the town centre and the Ipswich Waterfront.

"We are very keen to support people who invest in the area," he said.

"It's a site passed by many people each day and it would be good to see it developed. It's a gradual thing, and we have to work with people when they come forward with ideas.

"We know in the longer term there are potential plans to reduce the amount of traffic that goes through there but at the moment, that's not possible.

"We do want to see a good pedestrian link through the waterfront itself."